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Zero Card now charging £10 dormancy fee !

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ScoobyZ
ScoobyZ Posts: 489 Forumite
Part of the Furniture 100 Posts Photogenic
in Credit cards
Yep if you dont use your card for 6 months they can charge you £10 according to new terms I got posted today.

So if you got this for your anual holiday, you chould make a couple of small purchases through the year.
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Comments

  • LongTermLurker
    LongTermLurker Posts: 1,998 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    That's a sneaky one because a lot will get it for the foreign transactions (after the 0% stooz rate of course) and risk getting stung. I hate fees for non-use.
    You've never seen me, but I've been here all along - watching and learning...:cool:
  • Bismarck
    Bismarck Posts: 2,598 Forumite
    LongTermLurker wrote: »
    That's a sneaky one because a lot will get it for the foreign transactions (after the 0% stooz rate of course) and risk getting stung. I hate fees for non-use.

    I hate fees full stop! ;) - it's bad enough that they charge interest.
    For what I've done...I start again...And whatever pain may come ...Today this ends... I'm forgiving what I've done -AF since June 2007
  • antuk
    antuk Posts: 374 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    Hmm, hows this work then, if you BT to it @ 0%, you wont be spending on it for six months.....
  • Dagobert
    Dagobert Posts: 1,625 Forumite
    antuk wrote: »
    Hmm, hows this work then, if you BT to it @ 0%, you wont be spending on it for six months.....
    The card has 0% on purchases for 6 months, too. So you can spend the available balance. This way you max out the 0% offer as well as avoiding the fee.
    Dagobert
  • ldn-100
    ldn-100 Posts: 179 Forumite
    antuk wrote: »
    Hmm, hows this work then, if you BT to it @ 0%, you wont be spending on it for six months.....

    I would hope that as long as there is a balance owed, the account would not qualify as dormant.
  • LongTermLurker
    LongTermLurker Posts: 1,998 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    antuk wrote: »
    Hmm, hows this work then, if you BT to it @ 0%, you wont be spending on it for six months.....
    You would be paying £5 each month as well, so the account would remain active
    You've never seen me, but I've been here all along - watching and learning...:cool:
  • NickX
    NickX Posts: 3,046 Forumite
    It is not clear as to whether making the Minimum Payments will stop it being deemed as dormant.

    Even more annoying is that they have changed the Minimum Payment calculation so that it is now the greater of :

    (a) 2.25% of the outstanding balance

    (b) Interest Charged + Fees + PPI Premiums + £5

    Previously it had been the lesser, so this means no more £5 Minimum Payments :mad:

    I think I will cancel this card once the promotional period has expired.
  • exel1966
    exel1966 Posts: 5,045 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    LongTermLurker wrote: »
    You would be paying £5 each month as well, so the account would remain active

    It's crystal clear :rolleyes:

    "we may at our discretion charge you if you have no transactions OR a you have a zero balance on your account 6 consecutive months"

    So does transaction mean purchase ? cash withdrawl ? payment into the account ? All ?
    We can all surmise, but it really depends on their idea of transaction.

    It could be interpreted in any number of ways. Either way it won't affect those who were just using the card for the 6 ? month stooze.

    Reading a little further on in the T&C's it also says that "we may also charge a FEE for any BT that you make"
    I think they've realised just how good this card was and how many people were taking advantage of that :D
  • NickX
    NickX Posts: 3,046 Forumite
    exel1966 wrote: »
    So does transaction mean purchase ? cash withdrawl ? payment into the account ? All ?

    Exactly. I have been looking through this document for the definition of Transaction.

    In addition they have now expressly forbidden the account from going into Credit, and stated that you cannot hold 2 accounts with them.

    The good old MBNA Terms and Conditions that they initially took over are long gone :mad:
  • LongTermLurker
    LongTermLurker Posts: 1,998 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    NickX wrote: »
    Even more annoying is that they have changed the Minimum Payment calculation so that it is now the greater of :

    (a) 2.25% of the outstanding balance
    (b) Interest Charged + Fees + PPI Premiums + £5

    Previously it had been the lesser, so this means no more £5 Minimum Payments :mad:

    I think I will cancel this card once the promotional period has expired.
    Oh, that's bad! That doesn't make a FTD suitable, or at any rate on a 10K stooz you'd need to put £1350 into an instant access account just to pay off the minimum payments each month - still worth it, but it makes the job so much harder.

    Why are they all doing this?? This is our way of life they're playing with - taking away all the profitability just isn't cricket :mad:
    You've never seen me, but I've been here all along - watching and learning...:cool:
This discussion has been closed.
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